The US Dollar continues to rise as markets see a terminal rate above 5.25%.
- The US Dollar continues to be strong, as markets are becoming more firmly convinced that the Dollar will reach a higher terminal rate above 5.25%. The greenback is trading near a 5-week high price. Markets are also nervous about the upcoming US CPI data release later this week and see Fed rate hikes as likely to peak in July 2023.
- Stock markets are mostly lower over the recent Asian session, although the S&P 500 index has made minor gains. The S&P 500 Index made a golden cross the week before last. This is typically a strong long-term buy signal, although the price has fallen since then.
- In the Forex market, the New Zealand Dollar is the strongest currency right now, while the Japanese Yen is is the weakest, putting the NZD/JPY currency cross in focus.
- Some commodities are performing quite well, with some continuing to rise after having recently made significant bullish breakouts, notably Sugar.
- There will be a release of Swiss CPI (inflation) data this morning, with the data expected to show a month-on-month increase of 0.5%.
- Daily confirmed new global coronavirus cases decreased last week for the eighth consecutive week.
- Total confirmed new coronavirus cases worldwide stand at over 677.6 million with an average case fatality rate of 1.00%. Daily new confirmed cases have fallen to a low level not seen since June 2020.